A quick forum search yielded fruitless.

What are the best 529 plans out there? I've been researching them; however, there are a lot of weeds to go through.

I an considering Fidelity's options, but their 529s seem limited.

Thoughts appreciated!

TIA

Investment options are the most important. Reasonable (not lowest) fees are important. Most (low cost) plans put basic allocation models in their lineup. That's fine if you believe 30-40% of your equity exposure should always be international. Also most plans using a single provider only give one glide path option, which could be right or wrong.

I like the Maine Next Gen plan. 4 providers of age based models = 4 different glide paths. Can also get the exposures right with a good mix of size/style funds.

PeekingDuck said:

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Vanguard is fine. I don't think it matters too much because Texas doesn't have a state income tax. (assuming you are in Texas)

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Pick a low cost plan, Vanguard or Fidelity fit that model, as do a few others. If you live in Texas it makes no difference whatsoever which state you are picking, but the asset allocation does. Skip the Target funds and find one that buys only the Index 500.

Thanks for all the replies! Not sure which one I am going with yet, but this give me a direction to head in! I appreciate it!

I live in TX but have Fidelity's New Hampshire 529 plans - for reasons mostly due to flexibility and cost

We have Fidelity's 529s for our 3 sons (HS Freshman, 6th grade, 3rd grade). It's the NH plan. We chose the aggressive portfolio but have gotten more conservative with our oldest son who will be in college soon. It's a great plan.

I live in a state with income tax, but the deduction is capped at $3k per kid. So I put $3k into the MT plan and then the balance into the Utah my529 plan.

I live in Louisiana and get to benefit from one of the best state sponsored 529 plans. I am grateful for having put money in for all three of my kids.

I did learn that it is best to target a goal final available funds amount. For example, $80,000 when child is 18. Run some math to find out what you should deposit each week. I overshot my goal thinking I could just take out some money, designate it as non-school and pay taxes on that withdraw. It doesn't work that way. Once you make a non-school withdraw you have to withdraw 100% and pay taxes and a penalty. Lesson learned. I stopped giving and will take the remaining g money at end of school and transfer to the next child. If there is still funds after my last child, I'll transfer to grandkids.

But you have to live in Louisiana

Thanks for the information. I am also going through the same thing. Opening 529s for two kids. If I understand correctly, I have two decisions to make for each child. 1) what brokerage to use. Currently have UTMAs with Schwab so thinking about staying there. 2) Which 529 to pick? I have been trying to find resources to compare returns and look at investment approaches. I have found a lot of reviews, but I am not that interested in reading a review about an investment I would like to see the investments.

We also use the Vanguard product.

I have one child and will over find it for potential grad school, or for private school for future grandchildren.

I will have a few questions on withdrawing qualified expenses not billed by the school, such as off campus housing, food etc., when the time comes.

most of them use Fidelity, Vanguard, etc., so just look at the funds they offer within those and pick one.

Best not to overthink

Thank you!

What kind of returns do these funds get overtime? Is it comparable to S&P 500 index. I understand target date funds will decrease and I am not looking into those options. Planning on being more aggressive, equity based.

you have all sorts of options within each plan.

Here's an example for NY, where I have mine

https://www.savingforcollege.com/529-plans/new-york/new-york-529-college-savings-program-direct-plan/investment-options